Lucasfilm Lays Off LucasArts Staff, Will Stop Making Video Games

As part of the Disney takeover plans, George Lucas's Lucasfilm will lay off most of the employees [...]

LucasArts images from Comic Con 2010

As part of the Disney takeover plans, George Lucas's Lucasfilm will lay off most of the employees of their LucasArts division and stop making original video games, reports Variety. LucasArts won't totally close its doors, as a skeleton crew will remain employed to oversee licensed games. "After evaluating our position in the games market, we've decided to shift LucasArts from an internal development to a licensing model, minimizing the company's risk while achieving a broader portfolio of quality Star Wars games," LucasArts said in a statement. "As a result of this change, we've had layoffs across the organization. We are incredibly appreciative and proud of the talented teams who have been developing our new titles." As a result of the layoffs, LucasArts is no longer developing the planned Star Wars 1313, but will attempt to finish the game with another developer. Star Wars: First Assault appears dead in the water.